Securities Settlement

The final obligation for securities pay-in is downloaded to the members and custodians on the T+1 day. The members / custodians make available the required securities in the settlement pool accounts with the depository participants on the pay-in day by 10.30 a. m. To facilitate this members are required to open pool accounts with depository participants of both the depositories, NSDL and CDSL.

Contact Details of Depositories

Depository Address Contact Person & Numbers
Central Depository Services (India) Ltd. Phiroze Jeejeebhoy Towers, 28th FloorDalal StreetMumbai - 400 023 Mr.Cyrus Khambatta Senior Vice President
Tel: Fax: 22673199
National Securities Depository Ltd. Trade World, 4th FloorKamala Mills CompoundLower ParelMumbai-400 013 Mr. Samar Banwat, Vice President Tel: 24972964 to 70
Fax: 24972993

Subsequent to receipt of pay-in instructions from the depositories, NSCCL determines the shortages after which pay-out files are generated and released to the depositories by 1.30 p.m. Members have a facility of direct delivery of securities to the investors accounts wherein payout receivable by members can be directly credit to the beneficial owners’ accounts as instructed by them.

In addition to the direct delivery of securities to the client account, Members also have a facility to receive their payout in their preferred depository.

Direct delivery of securities to the investors accounts

Members may provide NSCCL instructions for pay-out directly to the client beneficiary account and not to the members settlement pool account. Members are required to provide information regarding their client beneficiary accounts on T+2 day by 9:30 a.m.. Based on the information received from members, the Clearing Corporation sends payout instructions to the depositories, so that the client receives the pay out of securities directly to their accounts on the pay-out day. The client receives payout to the extent of instructions received from the respective clearing members. To the extent of instruction not received, the securities are credited to the CM pool account of the member.

  • Clearing members are required to provide a file to NSCCL for effecting pay out to investors' accounts for a particular settlement type, settlement number and delivery type. The file is to be provided as per the structure specified by NSCCL.

    File Structure for Payout to Client

  • The time limit for submission of files is up to 9.30.am on the pay out day

  • The files are uploaded by NSCCL in its system and returned with the indication of the success/rejection of the file and the records. This is purely a validation of the correctness of the file and record formats.
  • At times, the files are not successfully uploaded due to certain technical/manual errors. Each of such rejected file/ rejected record has the error code appended to the control/detail record.

    Error codes and their meanings

  • In case clearing members wishes to modify the data in a file, which has been already submitted to NSCCL, the member can submit the full file after carrying out the required modifications. However this has to be done before the cut off time announced by NSCCL. With the submission of this revised full file, the file submitted earlier would be ignored and not considered.
  • Clearing members have to submit all the files in a running sequence of batch numbers. If clearing members fail to submit an earlier batch file then the subsequent batches will not be processed. However, if the earlier file was completely rejected, the same batch number should be used for the subsequent corrected file.
  • The total quantity of securities to be credited to the account of various constituents should not exceed the net pay out by NSCCL to the clearing member.
  • Clearing members shall provide details of beneficiary account of the clients of the trading members in any one of the depositories.
  • Credit to the accounts of various constituents would be in the same order as specified by the clearing member in the file given to NSCCL.
  • The credit to the beneficiary account of the client shall be pursuant to the file and in conformity with the details provided by the clearing member requesting NSCCL to directly credit the accounts of the constituent. Hence execution of such electronic instructions of passing the credit to the account of the constituents shall mean and be, pay out to the clearing members

Clearing members are provided a return file after completion of pay out in the extranet server in Clearing \CPD\dnld directory.

Securities Payout to Members Preferred Depository

Members have a facility of preferred depository wherein payout receivable by members can be credited to the specified pool account in either of the depositories viz. NSDL or CDSL.

Members are requested to take note of the following:

  • The securities payout shall be after giving effect to any client direct payout instructions which may have been provided by clearing members for the respective security for the respective settlement. In the event of a failure of a client payout instruction at the depository, the payout shall be effected to the respective depository pool account.
  • Members shall ensure that they get their account details updated in case of shifting /change of account etc to ensure that the payout happens to the preferred depository pool account.
  • Members may avail the said facility by providing details in the form of a letter as enclosed in Annexure I along with the client master report of the respective depository pool account. Also, the same letter has to be provided in case of closure of the said preferred depository pool account along with the client master report of the respective depository pool account.
  • Members may take note that they shall continue to maintain pool accounts in both the depositories viz NSDL and CDSL.

     


 

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